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GSA 101

What Vendors Should Know About the General Services Administration

As the federal government enters a new phase of consolidation, cost management, and policy adjustment, the General Services Administration (GSA) is taking center stage. Its mission spans various responsibilities, from negotiating multi-billion-dollar acquisition contracts to overseeing the federal real estate portfolio. This makes GSA’s work influential across nearly every agency and, consequently, every American citizen.

The stark contrast between GSA’s collaboration efforts in 2024 and the shift towards siloed directives and complex, unfunded consolidation in 2025 has left GSA and its stakeholders confused and disoriented. With the rowdy release of a new Executive Order earlier this month, GSA’s course has been altered again, threatening significant ripple effects and long-term uncertainty for federal agencies and vendors. For now, we are left as onlookers, witnessing a potentially impactful case study – or an un pétard mouillé – on how the federal government adapts under significant and acute pressure.

This post provides a comprehensive overview of GSA’s foundational structure and services, offering a “roadmap” that clarifies how this agency supports the daily operations of federal government programs. We explore GSA’s organizational structure, its evolving roles, and the potential implications of disruptive federal policies and administrative changes for federal agencies, contractors, and the future of public service infrastructure.

Agency Overview

The Basics.

Established in 1949 by the Federal Property and Administrative Services Act, the GSA consolidated several federal agencies to centralize and streamline administrative services. Initially tasked with disposing of war surplus goods and managing federal records, GSA’s role has since expanded significantly.

Today, GSA supports more than one million federal civilian employees by managing real estate, acquisition services, technology infrastructure, and overall government operations. It operates through two primary services: the Public Buildings Service (PBS) and the Federal Acquisition Service (FAS), supported by 12 staff offices and 11 regional service offices.

GSA oversees the procurement of over $84 billion in goods and services annually. It also manages an extensive real estate portfolio, preserving over 480 historic buildings. Additionally, GSA implements federal digital strategies, supports climate initiatives, and aids presidential transitions. Recent strategic efforts include modernizing Land Ports of Entry, advancing shared digital services through 21st Century IDEA, and expanding innovative building technologies.

Federal Acquisition Service

Streamlining Procurement.

FAS, created in 2006 through the GSA Modernization Act, merged the Federal Supply Service and Federal Technology Service. Its mission is to simplify and modernize how the government buys goods and services. FAS operates across six main business areas: General Supplies and Services, Travel, Transportation and Logistics, Information Technology, Assisted Acquisition Services, and Technology Transformation Services.

FAS utilizes the federal government’s collective buying power to help agencies acquire goods and services efficiently. It manages the MAS program, which offers pre-negotiated contracts with commercial vendors, and oversees Governmentwide Acquisition Contracts (GWACs), the GSA SmartPay program, and emergency acquisition agreements. Through programs like the Federal Marketplace (FMP) Strategy, FAS is modernizing the acquisition experience for customers and suppliers by consolidating schedules, enhancing catalog management, and improving digital procurement tools.

FAS also supports innovative partnerships, such as working with the Defense Innovation Unit (DIU) to transition Small Business Innovation Research (SBIR) projects into contract-ready solutions. In addition, FAS spearheads efforts in green procurement, identity management (e.g., Login.gov), and technology modernization, including the shift from DUNS to UEI identifiers.

Public Buildings Service

Managing Federal Real Estate.

As the country’s largest public real estate and inventory organization, PBS serves as the landlord for the civilian federal government. It manages over 8,000 assets, totaling 370 million square feet of workspace across the U.S., and supports around 1.1 million federal employees. PBS also oversees 500 historic properties and more than $71 billion in owned value. It provides leadership and direction for architecture, engineering, urban development, sustainable design, historic preservation, construction, and project management.

PBS administers complex leasing and property disposal processes, utilizes innovative programs like the Automated Advanced Acquisition Program (AAAP), and supports the federal government’s net-zero carbon goals through initiatives like the Green Proving Ground. The service also supports art preservation, urban development, and inclusive employment through its Fine Arts and AbilityOne programs.

Recent PBS efforts focus on tackling deferred maintenance, consolidating the real estate portfolio, enabling green energy transitions, and improving leasing efficiency. PBS utilizes tools like Client Project Agreements (CPAs) and project lifecycle management frameworks to deliver effective property solutions. Major contract awards reflect priorities in modernization, building maintenance, energy procurement, and lease management.

Shakeups and Shifts

From Procurement Ecosystem to Procurement Epicenter.

The transition from GSA’s 2024 reorganization to the sweeping unfunded mandates of 2025 marks a significant shift in strategy, scale, and tone.

In 2024, GSA focused on realigning specific agencies and fostering customer-centric innovation. This included the introduction of APEX centers, modernization of procurement tools, and expansion of sustainability initiatives. These changes were collaborative, gradual, and driven by stakeholder engagement.

In contrast, 2025 brought rapid federal consolidation, sweeping Executive Orders, and aggressive cost-cutting measures that can only be compared to letting a toddler loose in a bank vault with scissors.

This abrupt change in pace and policy has created potential long-term repercussions—particularly for target agencies that may need to cede their procurement authority to GSA, and for vendors adapting to new expectations and reduced flexibility.

More importantly, this unrefined redirection could lead to reduced transparency, fewer entry points for small businesses in acquisitions, and an increased dependence on GSA-managed vehicles by government contractors.

 

2025 Rebrand

Slogan Pitch: “GSA’s Got It—Whether You Want It or Not”.

GSA will undergo another significant overhaul in 2025, driven by the Trump Administration’s policy direction.

One of the most significant initiatives was announced on March 20, 2025, through an executive order titled “Eliminating Waste and Saving Taxpayer Dollars by Consolidating Procurement.” This order aims to reshape the federal procurement landscape by making the GSA the primary authority for domestic federal procurement of common goods and services. This effort builds on previous measures the Trump Administration took regarding the federal contracting marketplace, which has been characterized by bold claims and attention-grabbing headlines, such as GSA’s coordination of “the termination or economization of over 6,000 contracts across the federal government.”

At the same time, the Administration has enacted a 30-day freeze on the use of government-issued credit cards and initiated workforce reductions, with further cuts anticipated through the summer of 2025. A hiring freeze is also in effect until at least the end of the year. Recent policy changes have also impacted diversity, equity, and inclusion (DEI) practices, removing DEI considerations from government procurement evaluations.

“Rightsizing” MAS: Trimming the Fat—or the Access?

GSA is “rightsizing its Multiple Award Schedule (MAS) Program” by sunsetting contracts with low activity. Reports from yesterday indicate that GSA plans to remove up to 577 schedule holders over the next six months due to low sales, performance issues, or compliance concerns. Most of these companies have failed to meet their sales quotas in the past year or encountered performance or compliance problems. It’s important to note that this process of “removal” or “off-ramping” has been in place for some time under GSA’s Federal Supply Schedules (FSS) program, primarily governed by GSAM 552.238. This rule was established long before the current Administration and has been well-known: all FSS vendors must achieve $100,000 in sales within the first five years and $125,000 every five years thereafter. Additional modifications include the reduction in Special Item Numbers (SINs) where FAS plans to eliminate 31 SINs and modify several categories, including professional services and IT.

PBS Powers Down Its Climate Plans

Regarding PBS, the agency is divesting underutilized real estate to reduce maintenance costs—initial plans to sell hundreds of buildings have been scaled down to just eight sales. Meanwhile, sustainability programs such as electric vehicle (EV) charging station installations have been decommissioned. This includes approximately 8,000 charging plugs used for government and federal employees’ vehicles. Additionally, GSA plans to offload newly purchased EVs, aligning with the administration’s broader policy shifts away from previous sustainability initiatives.

Executive Order 14240: Legalizing Monopolies, Bundling, and Consolidation

The EO directing procurement consolidation under GSA is not unprecedented—it reactivates GSA’s foundational mandate under the 1949 Federal Property and Administrative Services Act to provide “an economical and efficient system” for federal procurement. The EO zeroes in on “common goods and services”, referencing the ten government-wide acquisition categories outlined by the Category Management Leadership Council (CMLC), a framework GSA already leads in six of.

The EO suggests that GSA may soon assume control of the remaining four categories, which are currently managed by the Department of Defense (DOD), the Department of Veterans Affairs (VA), the Department of Homeland Security (DHS), and the Office of Personnel Management (OPM). Additionally, the GSA is expected to take over procurement responsibilities for the Department of Education (ED), the Small Business Administration (SBA), and the Department of Housing and Urban Development (HUD).

If fully implemented, this would confirm that GSA is the central clearinghouse for nearly all domestically procured, non-mission-specific products and services governmentwide. This includes everything from software and office supplies to medical equipment and security services. This raises several important dynamics like:

  • Category Management Becomes Control: What was once a flawed framework for collaboration could now be the legal rationale for full control. This reframes GSA’s role from a supportive shared services provider to a potential gatekeeper of federal commerce.
  • More Guessing: The definition of “domestic” remains open to interpretation, which could create uncertainty in how this policy is executed—and which contracts fall under GSA’s future authority. Contractors and agencies will be left guessing how wide the net will be cast—and whether niche or specialized acquisitions might be caught in the dragnet.
  • Operational Strain: GSA’s internal systems and acquisition workforce—already impacted by layoffs and a hiring freeze—is underprepared for such a surge in volume and responsibility.

Consolidation Without Capacity

GSA’s Growing Burden in a Shrinking Government.

The sweeping federal workforce reductions and restructuring across agencies are of profound significance to GSA, significantly altering the landscape of our operations.

The metrics to the right underscore the significant transformations within GSA, such as the consolidation of procurement functions, and the federal contracting landscape, including shifts in demand and changes in the structure of contract vehicles.

Operational Burden on GSA

As GSA assumes procurement responsibilities from agencies such as OPM, Education, SBA, and HUD, it inherits a large volume of work previously managed by thousands of acquisition professionals. This transition is straining GSA’s workforce, which must rapidly scale despite a federal hiring freeze. Compounding this pressure are government-wide layoffs draining available talent and limiting GSA’s ability to reassign staff or bring in new capacity.

Shrinking Federal Demand and Impact on Operations

Simultaneously, workforce reductions at customer agencies like CDC, HHS, and SBA are shrinking the federal demand base. Procurement cycles are slowing, acquisition pipelines through FAS are becoming less predictable, and PBS is experiencing a drop in demand for leased office space—all of which challenge GSA’s ability to plan, forecast, and deliver on mission support.

Loss of Institutional Knowledge

The rapid departure of experienced staff across GSA and the broader federal enterprise erodes institutional memory. This loss undermines smooth transitions, weakens compliance continuity, and makes managing large-scale policy or operational changes even more difficult.

Contractor and Industry Disruption

These shifts also affect the contractor ecosystem. Vendors—especially small businesses—are navigating fewer access points and changing agency priorities. Uncertain uncertainty and reduced engagement opportunities replace long-standing relationships and predictable procurement paths.

PBS Facility Challenges

PBS faces challenges as agencies shift toward hybrid work models. Space requirements are being reassessed, modernization strategies are under scrutiny, and divestment decisions are becoming more complex amid increased oversight and changing workplace needs.

In short, while GSA prepares to become the epicenter of federal procurement without any funding or congressional support thus far, it’s also operating in an environment where staffing shortages, increased responsibility, and shifting customer needs are blindly colliding.

GSA Workforce Reductions

  • Overall GSA: Laid off ~600 employees in March 2025; more cuts expected. Targeting 50% overall spending reduction, including staff, space, and contracts.
  • FAS: Eliminated the 18F/U.S. Digital Services program, cutting ~90 employees.
  • PBS: Laid off ~600 in March; aiming for a 63% workforce cut. Cut ~40% of Region 9 staff (San Francisco, CA, NV, AZ, HI). Region 10 (Northwest/Alaska) issued RIF notices to 165 of 178 employees.

Est. Federal Workforce Reductions

  • Defense: Plans to cut 5–8% of civilian staff—up to 61,000 jobs—including 5,400 probationary employees.
  • Small Business: Plans to reduce its workforce by 43%, eliminating around 2,700 positions.
  • Education: Laid off one-third of staff, about 1,300 employees.
  • Environmental Protection: Trump expected 65% cuts (~11,000 jobs), but only ~170 impacted so far from shuttered environmental justice and diversity offices.
  • Health and Human Services: Closing 6 of 10 OGC offices; ~200 of 300 regional staff to be laid off. NIH ordered to cut 3,400 jobs to 2019 staffing levels.
  • Homeland Security: Issued RIFs for all staff in CRCL (~150), CIS Ombudsman (~40), and OIDO (~120); all on administrative leave.
  • Labor: Plans to slash OFCCP workforce by 90%, cutting from ~500 to 50 employees and reducing offices from 54 to 4.
  • Social Security: Plans to lay off 7,000 employees, per internal sources.
  • Veterans Affairs: Targeting cuts to 2019 staffing levels—over 80,000 jobs. RIFs start this summer.

So What?

Here are our takeaways.

In a time filled with workforce reductions, operational shake-ups, and federal priorities that seem to change faster than a cat can chase a laser pointer, the GSA is entering one of the most significant evolutions in its history.

As the GSA tries to juggle internal cutbacks while balancing the tightrope of external growth, the long-term effects on trust, agility, and competition are still as clear as mud.

How the agency navigates this circus will influence the success of federal procurement and facilities management. Still, it will prove what’s possible when government organizations are asked to do more with less—like pulling off a three-ring circus act with half the performers and a new “under pressure” theme.

For those in the government contracting community, it’s time to stay as close to the GSA as a clingy toddler at a crowded playground. As procurement consolidates and operations shift faster than a squirrel on espresso, vendors should take a deep breath (or several) and reassess their contracting strategies.

Stay updated on Multiple Award Schedule (MAS) changes, evaluate pricing and compliance, and maybe use soothing, meditative tones when engaging with GSA contracting officers. Picture waterfalls and gentle breezes—remember, calming vibes only!